This segment is used to specify any allowances or charges for the current line item.

As the calculation price type (data element 5152 PRI segment) used in the purchase order response is always as net price, allowances and/or charges specified in the ALC segment group are only for information purposes.

DE 1227: The calculation sequence indicator is used when multiple allowances and/or charges are applicable. If various allowances and/or charges percentages, quantities, monetary amount or rates are applicable to the same base price, then the calculation sequence indicator will always equal one. If the various allowances and/or charges are applied against a fluctuating price (constantly changing because of the application of other allowances and/or charges) then the sequence of calculation is indicated using this data element.

Note 1: A discount is a reduction in price of an item offered on a one off basis. An important distinction to make between a discount and an allowance is that an allowance is a reduction which is offered on a regular basis.

Example :

ALC+A+++1'

Dependency Notes :

DE 1227: If the allowance or charge is not to be applied against a fixed price then the calculation sequence indicator must be included.

DE C214: This composite is only included if the supplier knows the type of allowance or charge.

DE 3055: This data element is only used if code value 'DAE' is used in data element 7161.

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